Finding a parking space for rent for your business can be tough. There are lots of moving parts, employees are demanding space now and they don’t want to have to walk very far. Meanwhile, it’s hard to find spare space and available space often costs a fortune.
In this quick guide we’ll talk you through all the options.
Identifying Your Parking Needs
First things first, you should scope out your must haves and your nice to haves.
- How many spaces do you need?
- How far are staff willing to walk?
- Does it need to be in a gated setting?
- Do you need CCTV on site?
- Does access need to be shared?
You must understand that in most urban areas you are entering a sellers market.
“The more specific your asks are, the more money you are going to have to pay.”
For example, a parking lot for rent will be very expensive. Due to parking scarcity spaces together often go at a premium.
Can Parking Technology Help?
The first question is can technology help.
Traditionally, parking spaces have been designated to specific staff members. Let’s say the management team is growing and they are all entitled to a parking as part of their agreements. So a company goes out and sources additional spaces.
Yet, when a company takes a step back to reflect they realise that many of their designated parking spaces often lie empty. Owners are out of the office at any given time, at meetings, travelling for work or on holidays.
In fact, industry averages estimate that your average employee car park is only 60% – 75% full at any given time. That is a lot of spare space. Especially when you consider the amount of money companies pay on getting a new commercial parking lot for rent.
” To solve this issue, real estate experts are reverting to smart parking solutions like ParkOffice. ParkOffice can monitor and forecast employee parking occupancy. It works out what spaces are due to be used and when. “
ParkOffice then allocates spare space to staff in need of space. This ensures that all parking space is being used all the time. On average ParkOffice increases parking availability at a company by 25% – 40%. This costs a fraction of the price of renting additional space.
If you have a current stock of spaces, your first port of call for needs to be technology.
Definitely Need To Rent Parking?
If you don’t have any spaces or have already employed technology then you need to find parking spaces to rent. Finding spaces can be daunting, where do you even look?
Well there tends to be four answers.
1. Over the last few years there has been a global explosion of parking marketplaces. This has made it much easier to find a spare parking space near offices. The market is very fragmented and a lot of cities have their own market leaders.
2. Most commercial real estate agencies deal in parking spaces particularly for existing clients. If you are looking for a parking lot to rent, reach out to your companies preferred letting agents. However, for a lot of these business parking is small change. They see themselves as almost doing a favour by helping here.
There are some notable exceptions but don’t expect for real estate professionals to lose sleep over your parking requirements unless it’s a deal breaker for a large scale deal.
3. You can reach out to your local car park operator. Most large scale car parks will offer a host of options including monthly parking for businesses in the area. However, there can be waiting lists if the area is busy and prices tend to be sky-high.
4. Most large cities will small companies who specialise in car parking spaces for rent. They are often run by real estate or parking professionals and operate through word of mouth. Ask around your network and you’ll find out quickly who is worth talking to in your own city.
How Much Is Too Much?
A lot of people balk at the price of renting extra parking for their business. Unfortunately it can be very expensive. If you want to get an idea of how much parking costs across the globe check out the Global Parking Index. This will give you an idea of whether you are getting a good price or not.
” Please note that our cities are running out of space and hence it’s a sellers market. It’s a case of how much you want the space. “
Negotiating A Parking Rental Contract?
This can often be the biggest pain point. Many companies have strict procurement procedures. However, many parking space providers are looking for looser agreements. If you want a long-term contract, liaise with a reputable car park operator or agent. However, you will pay for this privilege.
Many real estate agents and the online marketplaces will have stocks of parking spaces for which they can’t give long-term commitments. This however doesn’t mean they won’t be available for the long-term.
For example a property developer might speculate on a plot of land in an urban setting. While they wait for planning permission, they might rent out the space to local offices as a car park. Now nobody can predict the planning process, they might be waiting 10 years for approval. They are often hesitant to sign long term contracts. In the event they get the green light for development they will be looking to move quickly.
It’s best to approach negotiations with an open mind.
” For many decision makers parking contracts are not their core business. As a result they will not lose sleep walking away from a deal. “
If you can get long-term parking for rent on a contracted & guaranteed basis that is great. Be open to a more flexible arrangement might give you everything you need.
Who Should Be Responsible For What?
Companies looking to rent parking often fail to understand – cars park at their own risk. This is why it’s important to make sure facilities fulfil your needs and requirements. For larger deal sizes a landlord might be happy to invest in better gates, cameras etc.
Be rational about this, if you are only renting a couple of spaces a landlord isn’t going to make many changes. Particularly if he feels he can rent the spaces elsewhere. When entering into any agreement make sure you’ve fleshed out your red line issues. Be flexible to landing elsewhere on other points.
Looking for some real-life examples? Check out how companies like Colliers International, Neueda & Ayre Chamberlain Gaunt solved their parking problems.
Parking causing issues? Join industry leaders from companies like Netflix, Indeed.com & CBRE, schedule a demo with ParkOffice.io today and solve your parking problems in the click of a button.